4 Canadian Copper Stocks Set to Shine in 2019

The Canadian copper stocks we’ve unearthed have seen substantial price and volume momentum in 2019

SmallCapPower | March 5, 2019: The copper price has rallied 14% since the beginning of the year, currently sitting at US$2.90/pound, up from US$2.55/pound at the beginning of January. This price increase has been fueled by a potential deal in the US-China trade dispute, as China is the world’s largest importer of copper, importing US$25B worth annually. Additionally, the Federal Reserve, Bank of Canada, and European Central Bank have taken a dovish stance towards further interest rate hikes in 2019, further fueling commodity prices. Today we have discovered four Canadian copper stocks that have seen strong price and volume momentum since the beginning of 2019. Price and volume momentum indicate bullishness, as increased share prices on higher volumes show heightened investor interest in a stock.

*Share prices as at close March 1, 2019, data obtained from S&P Capital IQ

Ero Copper is a base metals producer focused on its Vale do Curaçá Property, located in Bahia, Brazil, which has been in production for 39 years. The Company mines copper from four mines on the property: the Pilar underground mine, the Surubim open pit mine, the R22W open pit mine, and the Vermelhos underground mine. Ero Copper also owns the Boa Esperanҫa development project, an IOCG-type copper project located in Pará, Brazil, and the NX Gold Mine, an operating gold and silver mine located in Mato Grosso, Brazil. The Company reported Q3/18 results on November 8, 2018. EPS was $0.12, which beat consensus estimates of $0.03. Revenues were $48.9M, slightly lower than estimates of $52.5M. Management has provided production guidance for F2019E, in which the Company is expecting to process ~2,050 kt of ore at a copper grade of 2.0% with a projected cost of between US$1.00-$1.10/pound.

Taseko Mines is a precious and base metals producer focused on British Columbia and Arizona. The Company’s projects include gold, copper, and niobium. The Company’s flagship asset is the open pit Gibraltar Mine, which is a copper-molybdenum mine located in south-central British Columbia. Taseko also owns the Aley niobium and Harmony gold projects located in BC, and the Florence copper project located in Arizona. On February 12, the Company reported 2018 annual results: Revenue and EPS were $343.8M and -$0.04, respectively, with production of 125.2M pounds of copper at an average cost of US$1.93/pound. On February 15, 2019, Taseko announced it had completed its acquisition of YellowHead Mining in an all-stock deal for $15.1M, payable in Taseko common shares.

Bell Copper Corporation focuses on copper exploration in North America. The Company’s assets include the Kabba Project in Arizona, located in a region that is responsible for 10% of the world’s copper production. Also, Bell Copper has seven state exploration permits covering an area in aggregate of 8,030 acres. On January 25, the Company provided an update from the Perseverance porphyry copper project in Arizona. Drill hole K-20 returned promising results, with more than 700 meters of anomalous copper mineralization intercepted, comprising Chalcopyrite, Bornite, and Chalcocite, suggesting the porphyry target is proximal.

Crown Mining is an exploration-stage company that explores copper properties in Ontario, Nevada, and California. The Company holds an interest in more than 10 unpatented lode claims in Nevada, 13 unpatented mining claims and a lease on approximately 40 patented claims in California, as well as 10 patented mining claims in Ontario. On February 26, 2019, Crown Mining announced that it had applied to the U.S. Forest Service for a permit to drill the Moonlight Copper deposit located in California. The drilling program will consist of 26 holes totaling 2,600 feet.

Market Cap: $5.0 Million

YTD Return: +33.3%

30-Day Average Volume: 44,000

90-Day Average Volume: 42,000

Disclosure: Neither the author nor his family own shares in any of the companies mentioned above.

To read our full disclosure, please click on the button below:

The Content contained on this page (including any facts, views, opinions, recommendations, description of, or references to, products or securities) made available by SmallCapPower/Ubika Research is for information purposes only and is not tailored to the needs or circumstances of any particular person. Any mention of a particular security is merely a general discussion of the merits and risks associated there with and is not to be used or construed as an offer to sell, a solicitation of an offer to buy, or an endorsement, recommendation, or sponsorship of any entity or security by SmallCapPower/Ubika Research. The Reader should apply his/her own judgment in making any use of any Content, including, without limitation, the use of any information contained therein as the basis for any conclusions. The Reader bears responsibility for his/her own investment research and decisions. Before making any investment decision, it is strongly recommended that you seek outside advice from a qualified investment advisor. SmallCapPower/Ubika Research does not provide or guarantee any financial, legal, tax, or accounting advice or advice regarding the suitability, profitability, or potential value of any particular investment, security, or information source. Ubika and/or its affiliates and/or their respective officers, directors or employees may from time to time acquire, hold or sell securities and/or commodities and/or commodity futures contracts in certain underlying companies mentioned in this site and which may also be clients of Ubika’s affiliates. In such instances, Ubika and/or its affiliates and/or their respective officers, directors or employees will use all reasonable efforts to avoid engaging in activities that would lead to conflicts of interest and Ubika and/or its affiliates will use all reasonable efforts to comply with conflicts of interest disclosures and regulations to minimize the conflict.